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A worker has been allowed to complete a work in 12 hours,but he completes the work in 9 hours .labour rate per hour is rs.2.if cost of material is rs.8 and factory overheads are 150% of direct labour, find out factory cost as per following methods:
1) Halsey plan
2)Rowan pan
3) piece rate system?
Most Upvoted Answer
A worker has been allowed to complete a work in 12 hours,but he comple...
1. Halsey Plan
- Direct Labour Cost:
- Time allowed: 12 hours
- Actual time taken: 9 hours
- Labour rate: Rs. 2/hour
- Labour cost = 9 hours * Rs. 2 = Rs. 18
- Bonus Calculation:
- Halsey bonus = 50% of time saved
- Time saved = 12 - 9 = 3 hours
- Bonus = 50% of (3 hours * Rs. 2) = Rs. 3
- Total Labour Cost:
- Total = Direct Labour Cost + Bonus = Rs. 18 + Rs. 3 = Rs. 21
- Factory Overheads:
- Overheads = 150% of Direct Labour = 150% of Rs. 18 = Rs. 27
- Factory Cost:
- Factory Cost = Total Labour Cost + Material Cost + Overheads = Rs. 21 + Rs. 8 + Rs. 27 = Rs. 56
2. Rowan Plan
- Direct Labour Cost:
- As calculated above, Rs. 18
- Bonus Calculation:
- Rowan bonus = Time saved * (Time saved / Actual time) * Rate
- Bonus = 3 hours * (3/9) * Rs. 2 = Rs. 2
- Total Labour Cost:
- Total = Direct Labour Cost + Bonus = Rs. 18 + Rs. 2 = Rs. 20
- Factory Overheads:
- Overheads remain the same, Rs. 27
- Factory Cost:
- Factory Cost = Total Labour Cost + Material Cost + Overheads = Rs. 20 + Rs. 8 + Rs. 27 = Rs. 55
3. Piece Rate System
- Direct Labour Cost:
- Piece rate for the work completed in 9 hours
- Payment = 12 hours worth of work at Rs. 2/hour = Rs. 24
- Factory Overheads:
- Overheads = 150% of Direct Labour = 150% of Rs. 24 = Rs. 36
- Factory Cost:
- Factory Cost = Direct Labour Cost + Material Cost + Overheads = Rs. 24 + Rs. 8 + Rs. 36 = Rs. 68
In summary, the factory costs as per the three methods are:
- Halsey Plan: Rs. 56
- Rowan Plan: Rs. 55
- Piece Rate System: Rs. 68
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A worker has been allowed to complete a work in 12 hours,but he completes the work in 9 hours .labour rate per hour is rs.2.if cost of material is rs.8 and factory overheads are 150% of direct labour, find out factory cost as per following methods:1) Halsey plan2)Rowan pan3) piece rate system?
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A worker has been allowed to complete a work in 12 hours,but he completes the work in 9 hours .labour rate per hour is rs.2.if cost of material is rs.8 and factory overheads are 150% of direct labour, find out factory cost as per following methods:1) Halsey plan2)Rowan pan3) piece rate system? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about A worker has been allowed to complete a work in 12 hours,but he completes the work in 9 hours .labour rate per hour is rs.2.if cost of material is rs.8 and factory overheads are 150% of direct labour, find out factory cost as per following methods:1) Halsey plan2)Rowan pan3) piece rate system? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A worker has been allowed to complete a work in 12 hours,but he completes the work in 9 hours .labour rate per hour is rs.2.if cost of material is rs.8 and factory overheads are 150% of direct labour, find out factory cost as per following methods:1) Halsey plan2)Rowan pan3) piece rate system?.
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